v3.25.0.1
Indebtedness:
12 Months Ended
Dec. 31, 2024
Debt Disclosure [Abstract]  
Indebtedness:
Indebtedness:
Short-Term Borrowings
At December 31, 2024 and 2023, PMI’s short-term borrowings and related average interest rates consisted of the following:
December 31, 2024December 31, 2023
(in millions)Amount OutstandingAverage Year-End RateAmount OutstandingAverage Year-End Rate
Commercial paper
$— — %$1,685 5.6 %
Bank loans
137 8.6 283 8.9 
$137 $1,968 
Given the mix of PMI's legal entities and their respective local economic environments, the average interest rate for bank loans above can vary significantly from day to day and country to country.

The fair values of PMI’s short-term borrowings at December 31, 2024 and 2023, based on current market interest rates, approximate carrying value.
Long-Term Debt
At December 31, 2024 and 2023, PMI’s long-term debt consisted of the following:
December 31,
(in millions)
20242023
U.S. dollar notes, 0.875% to 6.375% (average interest rate 4.592%), due through 2044
$35,297 $30,272 
Foreign currency obligations:
Euro notes, 0.125% to 3.750% (average interest rate 2.062%), due through 2039
7,082 8,526 
Swiss franc note, 1.625%, due 2024
— 299 
Euro credit facility borrowings related to Swedish Match AB acquisition, (average interest rate 3.445%), due through 2027
2,610 6,121 
Swedish krona notes, 1.395% to 2.710% (average interest rate 2.016%), due through 2029
218 236 
Other (average interest rate 5.378%), due through 2032 (a)
351 487 
Carrying value of long-term debt45,558 45,941 
Less current portion of long-term debt
3,392 4,698 
$42,166 $41,243 
(a) Includes long-term bank loans at subsidiaries, as well as $67 million and $53 million in finance leases at December 31, 2024 and 2023, respectively.

The fair value of PMI’s outstanding long-term debt, which is utilized solely for disclosure purposes, is determined using quotes and market interest rates currently available to PMI for issuances of debt with similar terms and remaining maturities. At December 31, 2024 and 2023 the fair value of PMI's outstanding long-term debt, excluding the aforementioned finance leases, was as follows:
December 31,
(in millions)
20242023
Level 1$41,431 $38,259 
Level 23,011 6,687 

For a description of the fair value hierarchy and the three levels of inputs used to measure fair values, see Note 2. Summary of Significant Accounting Policies.

Term Loan Facility related to the Financing of the Swedish Match Acquisition

On June 23, 2022, PMI entered into a €5.5 billion (approximately $5.8 billion at the date of signing) senior unsecured term loan credit agreement consisting of a €3.0 billion (approximately $3.2 billion at the date of signing) tranche expiring three years after the occurrence of certain events and a €2.5 billion (approximately $2.6 billion at the date of signing) tranche expiring on June 23, 2027.

On November 7, 2022, PMI delivered notices of borrowing for advances totaling €5.5 billion under the term loan facility, of which €3.0 billion would become due on November 9, 2025, and €2.5 billion would become due on June 23, 2027, unless prepaid pursuant to the terms of the credit agreement.

On November 21, 2024, PMI prepaid approximately €3 billion (approximately $3.2 billion), including outstanding principal and accrued interest, representing all borrowings outstanding under the 3-year tranche of the senior unsecured term loan facility. As of December 31, 2024, borrowings in the amount of €2.5 billion (approximately $2.6 billion) under the 5-year tranche of the term loan facility remained outstanding.
Notes Outstanding:
PMI’s notes outstanding at December 31, 2024, were as follows:
(in millions)
Type
Face ValueInterest
Rate
IssuanceMaturity
U.S. dollar notes
$7501.500%May 2020May 2025
U.S. dollar notes
$7503.375%August 2015August 2025
U.S. dollar notes
$7505.000%November 2022November 2025
U.S. dollar notes
$7502.750%February 2016February 2026
U.S. dollar notes
$1,2504.875%February 2023February 2026
U.S. dollar notes
(a)$4504.875%May 2023February 2026
U.S. dollar notes
$7500.875%November 2020May 2026
U.S. dollar notes
$7504.750%February 2024February 2027
U.S. dollar notes
$5003.125%August 2017August 2027
U.S. dollar notes
$7504.375%November 2024November 2027
U.S. dollar notes
$1,5005.125%November 2022November 2027
U.S. dollar notes
$1,0004.875%February 2023February 2028
U.S. dollar notes
(b)$5504.875%May 2023February 2028
U.S. dollar notes
$5003.125%November 2017March 2028
U.S. dollar notes
(c)
$504.000%May 2013May 2028
U.S. dollar notes
$6505.250%September 2023September 2028
U.S. dollar notes
$1,0004.875%February 2024February 2029
U.S. dollar notes
$7503.375%May 2019August 2029
U.S. dollar notes
$7504.625%November 2024November 2029
U.S. dollar notes
$1,2505.625%November 2022November 2029
U.S. dollar notes
$1,5005.125%February 2023February 2030
U.S. dollar notes
(d)$7005.125%May 2023February 2030
U.S. dollar notes
$7502.100%May 2020May 2030
U.S. dollar notes
$7005.500%September 2023September 2030
U.S. dollar notes
$7501.750%November 2020November 2030
U.S. dollar notes
$7504.750%November 2024November 2031
U.S. dollar notes
$1,5005.750%November 2022November 2032
U.S. dollar notes
$1,2505.125%February 2024February 2031
U.S. dollar notes
$1,5005.375%February 2023February 2033
U.S. dollar notes
(e)$7505.375%May 2023February 2033
U.S. dollar notes
$1,0005.625%September 2023September 2033
U.S. dollar notes
$1,7505.250%February 2024February 2034
U.S. dollar notes
$7504.900%November 2024November 2034
U.S. dollar notes
$1,5006.375%May 2008May 2038
U.S. dollar notes
$7504.375%November 2011November 2041
U.S. dollar notes
$7004.500%March 2012March 2042
U.S. dollar notes
$7503.875%August 2012August 2042
U.S. dollar notes
$8504.125%March 2013March 2043
U.S. dollar notes
$7504.875%November 2013November 2043
U.S. dollar notes
$7504.250%November 2014November 2044
U.S. dollar notes
(f)
$5004.250%May 2016November 2044
(in millions)
Type
Face ValueInterest
Rate
IssuanceMaturity
EURO notes
(g)
€750 (approximately $972)
2.750%March 2013March 2025
EURO notes
(c)
€200 (approximately $205)
1.200%November 2017November 2025
EURO notes
(c)
€50 (approximately $51)
1.200%December 2020November 2025
EURO notes
(c)
€50 (approximately $51)
1.200%June 2021November 2025
EURO notes
(g)
€1,000 (approximately $1,372)
2.875%March 2014March 2026
EURO notes
(g)
€500 (approximately $557)
0.125%August 2019August 2026
EURO notes
(c)
€300 (approximately $308)
0.875%February 2020February 2027
EURO notes
(g)
€500 (approximately $697)
2.875%May 2014May 2029
EURO notes (g)
€500 (approximately $543)
3.750%June 2024January 2031
EURO notes
(g)
€750 (approximately $835)
0.800%August 2019August 2031
EURO notes
(g)
€500 (approximately $648)
3.125%June 2013June 2033
EURO notes
(g)
€500 (approximately $578)
2.000%May 2016May 2036
EURO notes
(g)
€500 (approximately $582)
1.875%November 2017November 2037
EURO notes
(g)
€750 (approximately $835)
1.450%August 2019August 2039
Swedish krona notes
(c)
SEK1,000 (approximately $95)
2.710%January 2019January 2026
Swedish krona notes
(c)
SEK700 (approximately $67)
1.395%February 2021February 2026
Swedish krona notes
(c)
SEK100 (approximately $10)
1.395%March 2021February 2026
Swedish krona notes
(c)
SEK200 (approximately $19)
1.395%September 2021February 2026
Swedish krona notes
(c)
SEK200 (approximately $19)
1.395%January 2022February 2026
Swedish krona notes
(c)
SEK300 (approximately $29)
2.190%April 2021April 2029
(a) These notes are a further issuance of the 4.875% notes issued in February 2023.
(b) These notes are a further issuance of the 4.875% notes issued in February 2023.
(c) Notes issued by Swedish Match AB. USD equivalents for foreign currency notes were calculated based on exchange rates on the date of acquisition.
(d) These notes are a further issuance of the 5.125% notes issued in February 2023.
(e) These notes are a further issuance of the 5.375% notes issued in February 2023.
(f) These notes are a further issuance of the 4.250% notes issued by PMI in November 2014.
(g) USD equivalents for foreign currency notes were calculated based on exchange rates on the date of issuance.

The net proceeds from the sale of the securities listed in the table above were primarily used for general corporate purposes, including working capital requirements, repayment of commercial paper, and to refinance certain of our outstanding notes. On November 21, 2024, PMI financed the prepayment of the 3-year tranche of the senior unsecured term loan facility with the proceeds of the November 2024 bond issuances and cash on hand.
Aggregate maturities:
Aggregate maturities of long-term debt are as follows:
(in millions)
2025$3,404 
20265,000 
20276,451 
20282,777 
20294,324 
2030-203415,656 
2035-20393,327 
Thereafter5,050 
45,989 
Debt discounts and fair value adjustments(431)
Total long-term debt$45,558 

Revolving Credit Facilities

At December 31, 2024, PMI’s total committed revolving credit facilities were as follows:
Type
(in billions)
Committed Revolving Credit Facilities
364-day revolving credit, expiring January 28, 2025
$1.7 
Multi-year revolving credit, expiring February 10, 2026 (1)
2.0 
Multi-year revolving credit, expiring September 29, 2026 (2) (3)
2.5 
Total facilities
$6.2 
(1) On January 28, 2022, PMI entered into an agreement, effective February 10, 2022, to amend and extend the term of its $2.0 billion multi-year revolving credit facility, for an additional year covering the period February 11, 2026 to February 10, 2027, in the amount of $1.9 billion.
(2) Includes pricing adjustments that may result in the reduction or increase in both the interest rate and commitment fee under the credit agreement if PMI achieves, or fails to achieve, certain specified targets.
(3) On September 20, 2022, PMI entered into an agreement, effective September 29, 2022, to amend and extend the term of its $2.5 billion multi-year revolving credit facility, for an additional year covering the period September 30, 2026 to September 29, 2027, in the amount of $2.3 billion. On September 20, 2023, PMI entered into an agreement, effective September 29, 2023, to amend and further extend the term to September 29, 2028.

On December 17, 2024, PMI entered into a credit agreement, effective January 29, 2025, relating to a senior unsecured revolving credit facility with borrowings up to an aggregate principal amount of €1.5 billion, (approximately $1.6 billion) expiring on January 29, 2028. Concurrently, PMI did not request an extension of the maturity date of the existing 364-day revolving credit facility and the facility matured on January 28, 2025.

At December 31, 2024, there were no borrowings under these committed revolving credit facilities, and the entire committed amounts were available for borrowing.

In addition to the committed revolving credit facilities discussed above, PMI maintains certain short-term credit arrangements, including uncommitted credit lines, to primarily meet working capital needs. These credit arrangements amounted to approximately $2.1 billion at December 31, 2024, and approximately $2.7 billion at December 31, 2023. Borrowings under these arrangements and other bank loans amounted to $137 million at December 31, 2024, and $283 million at December 31, 2023.